TLDR
BlackRock’s Bitcoin ETF (IBIT) has accumulated over 500,000 BTC, representing 2.38% of total Bitcoin supply
IBIT has reached $48 billion in assets under management at current Bitcoin price of $96,000
Daily BTC selling pressure has decreased by 42% from November peak
Bitcoin ETF saw $353.6 million in net positive flows on Monday
Large holder inflows grew from 102.4 BTC to 4,670 BTC between December 1-2
The Bitcoin market continues to demonstrate resilience in early December, with the leading cryptocurrency maintaining price levels above $94,000 despite minor fluctuations. BlackRock’s Bitcoin ETF (IBIT) has emerged as a dominant force, recently surpassing 500,000 BTC in holdings, equivalent to 2.38% of Bitcoin’s total supply.
The latest market data shows Bitcoin trading at $94,816, following a 3.44% decline over the past two days. However, institutional interest remains robust, with Bitcoin ETFs recording net positive flows of $353.6 million on Monday, surpassing Friday’s inflows of $320 million.
BlackRock’s IBIT has particularly stood out, accumulating $48 billion in assets under management since its January 2024 launch. This achievement positions IBIT among the top three ETF launches of 2024, surpassing established products like the iShares Gold ETF (IAU), which debuted in 2005.
Large holder behavior provides additional insight into market dynamics. Data from IntoTheBlock reveals a substantial increase in large holder inflows, growing from 102.4 BTC to 4,670 BTC between December 1-2. This contrasts with outflows of 1,620 BTC during the same period, suggesting a net positive accumulation trend.
The market’s technical indicators present a mixed picture. The fear and greed index has declined from 80 to 76 in the last 24 hours, indicating a slight reduction in bullish sentiment. Open interest in derivatives markets has also decreased, though remaining in positive territory.
Nate Geraci, President of the ETF Store, highlighted IBIT’s remarkable growth trajectory. “If IBIT were BlackRock’s only ETF, it would rank among the top 15 issuers globally,” Geraci noted, emphasizing how the product has exceeded initial market expectations.
iShares Bitcoin ETF (IBIT) now approaching $50bil in assets…
*$50bil* in less than a yr.
If IBIT were BlackRock’s only ETF, they would be a top 15 issuer.
IBIT has blown by iShares Gold ETF (IAU) which launched in *2005*.
IBIT holds > 500,000 btc.
“No demand” they told me.
— Nate Geraci (@NateGeraci) December 4, 2024
IBIT’s Bitcoin holdings now surpass those of MicroStrategy, which currently holds 402,100 BTC. This milestone underscores the growing influence of institutional investment vehicles in the Bitcoin market.
Daily trading volumes have shown subdued activity in recent weeks as Bitcoin approaches the $100,000 level. This consolidation phase coincides with reduced selling pressure from long-term holders, according to recent Glassnode data.
The analytics firm reports that daily realized profits for Bitcoin sent to exchanges have decreased by 42%, dropping from $481 million on November 16 to $277 million. This reduction in profit-taking activity suggests many traders are maintaining their positions.
Traditional BlackRock funds have also increased their exposure to IBIT, indicating growing confidence in Bitcoin as an investment asset within conventional portfolio management strategies.
Market analysts are closely monitoring IBIT’s growth trajectory, with some projecting potential accumulation of nearly 1 million BTC in the coming years, based on current adoption rates.
The ETF’s success comes amid broader market maturation, with Bitcoin’s market capitalization holding steady at $1.91 trillion. Trading patterns indicate a strong support level has formed around the $94,000 range.
Recent data shows Bitcoin ETF inflows maintaining consistency despite market fluctuations. This steady institutional demand contrasts with previous market cycles characterized by more volatile investment patterns.
Open interest metrics, while showing some decline, indicate investors remain positioned for potential upside moves rather than defensive positioning. This suggests market participants maintain a cautiously optimistic outlook despite recent price consolidation.
Looking at immediate market dynamics, Bitcoin faces technical resistance near the $98,000 level, while finding support around $94,000. Trading volumes have normalized following November’s heightened activity.
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